Ansell grows profit despite cost increases

Ansell has recorded a moderate increase in earnings, boosting full-year net profit by 3 per cent to $122 million, despite a rise in the costs of natural latex and cotton.

Transcript

TICKY FULLERTON, PRESENTER: A big increase in the cost of natural rubber latex and cotton hasn't stopped the rubber gloves and condom maker Ansell from recording a moderate increase in earnings.

Ansell's full-year net profit rose to $122 million, up nearly three per cent on last year's result. Revenue was down slightly to around $1.23 billion. Meanwhile, the $50 million increase in raw material costs isn't expected to be repeated.

MAGNUS NICOLIN, CEO, ANSELL: Well we said that our assumption on natural rubber latex is that the average is going to go up because you get full-year effect of last year's dramatic ascendancy, if you will. Now what we've seen, recent declines are a little bit more significant than we assumed.